Chinese video streaming company LeEco is acquiring Vizio, an Irvine, CA-based budget-priced TV and audio company for $2 billion. The new entity will operate as two parts, a wholly-owned hardware and software subsidiary and a private data business.

Vizio, whose management team is expected to remain in Irvine, also brings existing distribution agreements. LeEco’s U.S. presence is spreading, having established a HQ in San Jose earlier this year and recently signing a deal to build a 3-million-square-foot campus in Santa Clara. The deal is expected to close by the end of the year.

The deal helps extend LeEco’s global expansion, while increasing its footprint in North American markets. Vizio is credited with pioneering a disruptive business model that altered the consumer electronics industry and fits LeEco’s model of breaking boundaries for consumer products, software and services.